EUR/USD reverses sharply from 1.1380 session high, turns negative

The EUR/USD pair seems to have lost upside momentum as the pair has now drifted into negative territory to currently trade near session low level.

The major confronted fresh offers near session high level of 1.1380 despite of slightly better-than-expected final print of the composite Euro-zone GDP growth for the first-quarter of 2016. According to the data released by Eurostat, the region’s economy grew 0.6% q/q as compared to 0.3% in Q4 of 2015. The yearly figure also reflected slightly better growth by printing 1.7% growth as compared to 1.6% growth recorded in the previous quarter.

Bullish traders, however, failed to get a boost from upward revision of growth numbers and seems inclined to take some profits off the table after the pair's last week up-surge of over 250-pips. 

Technical levels to watch

On the immediate downside, 50-day SMA near 1.1315-1.1300 region seems to provide some immediate support, below which the fall could get extended till 20-day SMA support near 1.1250-45 region. Meanwhile on the upside, a sustained trade above Monday’s high resistance near 1.1390, the pair seems set for its next leg of up-move immediate towards 1.1460-65 resistance, ahead of 1.1500 psychological mark resistance and resistance near 1.1530-35 zone.